MAN Diesel & Turbo renews agreement with China's CMP

MAN Diesel & Turbo attendees at license renewal ceremony included Klaus Engberg – Senior Vice President and Head of Two-Stroke Licensing, Ulrich Vögtle – Vice President and Head of Large Bore Four-Stroke Licensing, Dr Manfred Biedermann – Head of MAN Diesel & Turbo, China, and Dai Jun – Head of Licensing Support, China

OCTOBER 15, 2015 — CSSC Marine Power Co., Ltd. (CMP) has renewed its contract with MAN Diesel & Turbo for another 10 years of production of four-stroke medium speed engines.

CMP is an engine-manufacturing division of the Chinese State Shipbuilding Corporation (CSSC), one of the largest Chinese shipbuilders.

The new agreement, signed at a ceremony last week in Anqing, China, marks the renewal and continuation of a cooperation that first started in the 1980s.

"The extension of the four-stroke license agreement between CMP and MAN Diesel & Turbo is a tribute to the very first license we bonded 35 years ago," said CMP Chairman Mr. Zhang Haisen. "Furthermore, the comprehensive cooperation scope refers not only to four-stroke diesel engines, but also to two-stroke low speed engines, CPP propellers, turbochargers, and SCR systems. CSSC values MAN Diesel & Turbo as its premium partner, and sincerely expects to continue this important business partnership to another 35-year milestone."

"We have enjoyed a long, close cooperation with CSSC/CMP that stretches all the way back to 1980, and over the years CMP has produced a broad range of MAN four-stroke engines, but also small two-stroke engines," said Klaus Engberg – Senior Vice President and Head of Two-Stroke Licensing, MAN Diesel & Turbo. "Especially over the last decade, our two companies have intensified their technical cooperation, making CMP today one of MAN Diesel & Turbo's major licensees globally for such engines, and the largest producer of MAN four-stroke engines in China."

Ulrich Vögtle – Vice President and Head of Large Bore Four-Stroke Licensing – said: "We view our relationship with CSSC as pivotal to our success in giving Chinese customers access to our technology. Accordingly, we are very happy and proud today to be able to officially announce the continuation of our excellent business relationship for the next decade."

To date, CMP has delivered 5,000 units of MAN four-stroke diesel engines, equivalent to 4,700,000 kW. CMP also holds a license agreement for two-stroke MAN B&W engines, which it too renewed for a decade at a ceremony in Beijing earlier this year.

Headquartered in Beijing, CMP parent CSSC handles shipbuilding activities in the east and south of China and consists of various shipyards, equipment manufacturers, research institutes and shipbuilding-related companies. Some of the best-known shipbuilders in China, such as Jiangnan Shipyard and Hudong-Zhonghua Shipbuilding, are currently owned by CSSC.

Zhenjiang Marine Diesel (ZJMD), CMP's predecessor, was founded in 1976 and signed a 15-year medium-speed licensing agreement with MAN Diesel & Turbo in May 1980. This was subsequently extended in 1995 and 2005.